Even as the government takes steps to improve the ease of doing business and some investments have started to trickle in, the economy is still sometime away from big bang investments by India Inc, said Sumit Mazumdar, president CII and CMD Tractors India.
Speaking with The Indian Express, Mazumdar said, “Corporate earnings would be much better in 2016 but big investments are still some time away. While in 2016 we will see lot of improvements, it will not be the big bang year from an investment perspective.”
He, however, said that things have improved and while investments were not happening over the past few years and were a cause of concern, the process has started now. “There was total standstill on investment from domestic players and that has started. The sentiments have improved but I think, foreign investors are still in wait-and-watch mode and it will take some more time to happen,” he added.
Satisfied with the steps already taken by the government, Mazumdar said that the government has adopted the right approach of building a strong foundation and pointed out that the steps taken on easing and opening FDI in various areas. He said that instead of going for the quick fixes and quick results, they have worked on creating the right environment that encourages growth and business.
“A lot has happened on the ease of doing business. A lot of processes and forms have been simplified and a lot of them have gone online. I think that is critical and the day everything goes online, things will work really fast,” said Mazumdar.
Hailing Make in India as the most powerful message he has seen in several decades that will help generate jobs, Sumit Mazumdar pointed out that people have to be made employable and a lot of work needs to be done on building infrastructure too.